In a closed economy, the total quantity of goods demanded equals the sum of
A) consumption spending, investment spending, and government spending.
B) consumption spending, national saving, and taxes.
C) consumption spending, government spending, and taxes.
D) investment spending, national saving, and taxes.
A
You might also like to view...
When the coupon rate on newly issued bonds decreases relative to older, outstanding bonds, what happens?
A) Older bonds will sell for more than their face value. B) Older bonds can still be sold at their face value. C) The market price of the older bond falls in the secondary market. D) The market price of the older bond rises in the secondary market.
Given the Republic of Korea's experience, what can we conclude about comparative advantage?
What will be an ideal response?
Stewie enjoys watching DVDs and listening to his iPod. Suppose his utility function is given by U(D, I) = 3D + 4(D × I), where D is the number of hours he spends watching DVDs and I is the number of hours he spends listening to his iPod. Which of the following combinations will provide Stewie with the greatest amount of satisfaction?
A. 4 hours of watching DVDs and 8 hours of listening to his iPod B. 6 hours of watching DVDs and 6 hours of listening to his iPod C. 2 hours of watching DVDs and 10 hours of listening to his iPod D. 8 hours of watching DVDs and 6 hours of listening to his iPod
A decrease in the supply of dollars and a decrease in the demand for Japanese yen
A. increases the yen price of dollars. B. increases the value of the yen. C. does not change the exchange rate between dollars and yen. D. increases the value of the dollar.